LEGISLATIVE BUDGET BOARD
Austin, Texas

FISCAL NOTE, 88TH LEGISLATIVE REGULAR SESSION


April 10, 2023

TO:	Honorable Ryan Guillen, Chair, House Committee on Homeland Security & Public Safety

FROM:	Jerry McGinty, Director, Legislative Budget Board

IN RE:	HB588 by Raymond (Relating to a statewide disaster alert system.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for HB588, As Introduced : a negative impact of ($23,603,914) through the biennium ending August 31, 2025.

General Revenue-Related Funds, Five- Year Impact:

All Funds, Five-Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2024	($14,822,327)
2025	($8,781,587)
2026	($8,863,337)
2027	($9,814,285)
2028	($9,034,269)

Fiscal Year	Probable Savings/(Cost) from General Revenue Fund 1	Change in Number of State Employees from FY 2023
2024	($14,822,327)	20.3
2025	($8,781,587)	20.3
2026	($8,863,337)	20.3
2027	($9,814,285)	20.3
2028	($9,034,269)	20.3

The bill would require the Texas Division of Emergency Management (TDEM), with the cooperation of the Office of the Governor and appropriate state agencies, to develop and implement a statewide alert system to activate in the event of a disaster affecting any location in the state. The notification would have to be provided through public and commercial television or radio broadcasts; a system of dynamic message signs; and reverse 9-1-1 telephone calls, text messages, e-mails, social media, and other instant messaging systems.

The bill would provide criteria for the activation, content, and termination of the alert system. TDEM would be required to implement the provisions of the bill as soon as practicable after the bill's effective date.

To develop and implement a statewide disaster alert system according to the provisions of the bill, the Texas Divisions of Emergency Management (TDEM) estimates costs for additional staffing, database development, widespread communication on new technology, and education. Additional staffing would include 1.0 Division Chief ($197,590 in fiscal 2024 and $213,694 in fiscal 2025); 2.0 Section Chiefs ($329,317 in fiscal 2024 and $356,156 in fiscal 2025); 9.0 Unit Chiefs ($1,037,348 in fiscal 2024 and $1,121,892 in fiscal 2025); 1.0 Executive Assistant ($56,188 in fiscal 2024 and $60,767 in fiscal 2025); 5.0 Technical Operations Officers ($312,851 in fiscal 2024 and $338,348 in fiscal 2025); and 2.3 Program Specialists V ($146,317 each fiscal year). Additionally, TDEM estimates capital costs of $10,914,573 in fiscal 2024 to work with a vendor to develop the new system and ongoing capital costs of $5,000,000 per fiscal year for device replacement. Other costs would include other personnel costs, fuels and lubricants, consumable supplies, utilities, travel, rent, other operating expenses, and employee benefits.

According to analysis from the Health and Human Services Commission (HHSC), implementation of the bill could result in a fiscal impact to the agency relating to the 2-1-1 Texas Information and Referral Network, but a specific estimate cannot be provided because it is unknown how the alert system would be implemented. There is no anticipated fiscal impact for the Office of the Governor.

Included in the costs listed above, TDEM anticipates costs for software program development, laptops and monitors, wireless devices, and other technical assistance needs.

Local Government Impact

No fiscal implication to units of local government is anticipated.